Press Release

SRHI Inc. Announces Filing of Final Prospectus

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES./

TORONTO, April 13, 2021 (TSX: SRHI) - SRHI Inc. ("SRHI" or the "Company”) announced today that it has obtained a receipt for its final prospectus filed with the securities regulatory authorities in each of the provinces of Canada (except Quebec) in connection with its previously announced offering of 18,200,000 units of the Company (“Units”) on a “bought deal” basis, at a price of C$0.55 per Unit (the “Offering Price”) for aggregate gross proceeds of C$10,010,000 (the “Offering”). Each Unit consists of one common share (each a “Unit Share”) in the capital of the Company and one common share purchase warrant (each a “Warrant”). Each Warrant is exercisable into one common share of the Company at an exercise price of C$0.70 for a period of 18 months from the closing of the Offering.

PI Financial Corp. and Eight Capital are acting as co-lead underwriters and joint bookrunners (together, the “Co-Lead Underwriters”) on their own behalf and on behalf of a syndicate of underwriters (together with the Co-Lead Underwriters, the “Underwriters”) in connection with the Offering.

The Company has granted the Underwriters an option, exercisable in whole or in part and from time to time at any time until 30 days after the closing of the Offering, to purchase up to an additional number of Units equal to 15% of the number of Units sold pursuant to the Offering at the Offering Price.

The net proceeds from the Offering will be used to fund the advancement and exploration of the Company’s flagship Minera Tres Valles project and for working capital and general corporate purposes.

The Offering is expected to close on or about April 16, 2021 subject to satisfying certain closing conditions, including final approval of the Toronto Stock Exchange.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

About SRHI Inc.

SRHI is a publicly-listed company based in Toronto and its principal operating business is its 70% equity interest in the producing copper mine MTV in Salamanca, Chile. For more information about SRHI, please visit www.srhi.ca.

Cautionary Statement Regarding Forward-Looking Information

Certain statements in this news release contain forward-looking information (collectively referred to herein as the "Forward-Looking Statements") within the meaning of applicable Canadian securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify Forward-Looking Statements. In particular, but without limiting the foregoing, this news release contains Forward-Looking Statements pertaining to: the use of proceeds from the Offering, the aggregate gross proceeds of the Offering, the expected closing date of the Offering, the jurisdictions in which the Units will be offered for sale and regulatory approvals in connection with the Offering, including the approval of the Toronto Stock Exchange.

Although SRHI believes that the Forward-Looking Statements are reasonable, they are not guarantees of future results, performance or achievements. There is no guarantee the Offering will be completed on the proposed terms or at all. Although the Company believes that the expectations and assumptions on which such Forward-Looking Statements and information are based are reasonable, undue reliance should not be placed on the Forward-Looking Statements and information as the Company cannot give any assurance that they will prove to be correct. Since Forward- Looking Statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results, performance or achievements could vary materially from those expressed or implied by the Forward-Looking Statements should assumptions underlying the Forward-Looking Statements prove incorrect or should one or more risks or other factors materialize. Readers are cautioned that the foregoing list of risks and uncertainties is not exhaustive. Other risk factors that could affect the Company's operations or financial results are included in the Company's Annual Information Form dated March 3, 2021 and may be accessed through the SEDAR website (www.sedar.com). The forward-looking statements and information contained in this news release are made as of the date hereof and the Company does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While the Company may elect to, the Company is under no obligation and does not undertake to update this information at any particular time, except as required by law.

 

For further information:

Michael Staresinic

President and Chief Financial Officer

T: (416) 943-7107

E: mstaresinic@srhi.ca

 

Renmark Financial Communications Inc.

Joshua Lavers: jlavers@renmarkfinancial.com

T: (416) 644-2020 or (212) 812-7680

www.renmarkfinancial.com

 

Source: SRHI Inc.